CIF Gulf Grain-Soybean basis steady-firm on good export demand

March 05, 2013|Reuters

March 5 (Reuters) - Basis bids for soybeans shipped by bargeto the U.S. Gulf Coast were steady to firm early on Tuesday,supported by good export demand and tight old-crop supplies,traders said. * CIF corn basis bids at the Gulf were flat to lower amidhigher futures prices and sluggish export demand. * CIF wheat basis bids were mostly unchanged. * Spot barge freight rates were steady to slightly lower asslow grain movement limited the need for empty vessels. * Chicago Board of Trade corn and soybean futures gainedalong with the broader commodities market and higher equitymarkets. * Farmer selling of corn and soybeans remained largely muteddespite the futures gains as producers awaited higher prices. * Strong exporter demand for soybeans underpinned basisvalues at the Gulf. USDA on Tuesday confirmed a total of 675,000tonnes of both old- and new-crop soybean sales to China andunknown destinations. * Some traders said the old-crop sales were likely SouthAmerican purchases that were switched to U.S.-origin amid heavyport congestion in Brazil that is expected to delay shipments. * Basis bids for soybean barges loaded this week were steadyat 67 cents a bushel over Chicago Board of Trade March futures. April and May bids gained 2 cents to 65 cents and 67cents over, respectively. * CIF corn basis bids for barges loaded by the end of theweek were down 2 cents at 78 cents a bushel over May futures. Bids for barges loaded in the balance of the month fell3 cents to 73 cents over. * Basis bids for soft red winter wheat barges loaded inMarch were steady at 65 cents a bushel over CBOT May futures. April barges were bid 62 cents over, also steady.